In this article, you’ll learn:
What a thematic ETF is
Which companies may be included
How thematic ETFs fit in a portfolio
Key points to consider before investing
A thematic ETF is an exchange-traded fund that invests in companies linked to a specific long-term trend or theme, such as artificial intelligence.
Instead of choosing individual stocks, a thematic ETF gives you exposure to a wide range of companies connected to the same idea or innovation. This can make it easier to invest in complex trends.
AI ETFs typically invest across the full artificial intelligence ecosystem. This includes companies developing AI technologies, businesses providing the infrastructure that supports AI, and firms applying AI in real‑world use cases across different industries.
By investing across these areas, AI ETFs can offer exposure to the entire AI value chain — from innovation and development through to practical application.
So what companies are actually included in AI ETFs?
Examples of companies included in AI ETFs are:
In short: AI ETFs invest across multiple sectors linked to artificial intelligence.
One of the key advantages of thematic ETFs is that they offer diversification within a specific theme. Instead of relying on a single company, investors gain exposure to multiple companies within the same trend. This aims to reduce the impact of individual company performance.
Diversification does not fully protect against market risks.
Thematic ETFs are often used alongside broader market investments, such as core equity or bond ETFs.
While they may hold many companies, thematic ETFs remain focused on one idea. Themes like AI can evolve quickly and may experience higher volatility than broader markets
For this reason, many investors use thematic ETFs to complement a diversified core portfolio rather than replace it.
Capital at risk. The value of investments and the income from them can fall as well as rise and are not guaranteed.
Artificial intelligence is just one example of a long-term investment theme.
Other themes investors may consider include:
If you believe in a long-term trend, there may be ETFs designed to provide targeted exposure to that theme.
Thematic ETFs can offer a simple way to invest in structural changes and emerging technologies like artificial intelligence. By providing diversified exposure to a specific theme, they can allow investors to participate in innovation without selecting individual companies. When used as part of a broader strategy, they can support a long-term investment approach.
Thematic ETFs provide exposure to long-term trends like artificial intelligence
They offer diversification within a specific theme
They are typically used alongside broader core investments
They may be more volatile and are usually suited to long-term investing
Getting started with investing doesn t have to be complicated. With a clear plan and a long term perspective, even small steps can make a difference over time. Many investors begin with a few simple steps:
Consider what you want to achieve and how investing fits into your plans.
You'll need an investing account with an online investment platform, bank or provider.
A diversified portfolio may include equities, bonds and ETFs.
Investing gradually over time can help manage market fluctuations.